Recent Question/Assignment

Task
Assignment Background:

This assignment is presented as several different case studies within one large and diversified manufacturing company where you are employed as a graduate management accountant.

Congratulations on your appointment as a trainee management accountant in the head office of Mercury Inc. which own and operate a number of different businesses throughout the Asia-Pacific. The head office of Mercury Inc is based in Brisbane, Australia from where a diversified portfolio of FMCG (Fast Moving Consumer Goods) business units are managed. Recently, the company has made several acquisitions and commenced joint venture partnerships in mainland China. The rapid growth in spending in Chinese consumer markets and demand for quality goods is seen by Mercury Inc. as being an important opportunity to drive future growth for the group. Whilst you are based at the firm’s Australian operations head office in Brisbane your graduate year training will involve working with a number of different Mercury Inc. business units in a range of different accounting roles.
As part of your role with Mercury Inc. you will be expected to provide advice around strategic and operational issues to management and production teams as well as develop management accounting solutions for reporting within the group.

At the commencement of each question in this assessment you are referred to the subject Topic Modules which cover the material in the question and also to the subject Learning Outcomes that are addressed by the question. The full list of Learning Outcomes for the subject are provided in the Subject Outline. As an aspiring management accountant you are expected to research and read beyond the material provided within the text and the subject Interact site.

Question 1 Manufacturing Cost Flows (10 marks)

Snoozy Trading Co Ltd are a wholly owned subsidiary of Mercury Inc. and manufacture of gardening products including secateurs and other hand tools and accessories. These products are sold directly to retailers of gardening products including hardware stores and garden centres under several different brand names.

The company is Australian-based and incorporated and pays income tax at the Australian corporate rate of 30%. Snoozy Trading Co Ltd utilises a traditional manufacturing cost flow inventory and accounting system and no adjustments for accruals or prepayments are required. On December 31st 2017 the following year end balance sheet data was provided:

Account: December 31 2017 December 31 2016
Cash at Bank 127,500 2,895,000
Plant & Equipment (at cost) 6,250,000 3,675,000
Accounts Receivable 1,832,000 875,500
Accounts Payable 356,500 854,500
Raw Material Inventory 786,500 486,000
Finished Goods Inventory 752,000 275,500
Work in Process (WIP):
Raw Materials 632,000 332,500
Direct Labour 245,000 129,000
Manufacturing Overhead 310,500 158,500
Total WIP 1,187,500 620,000

The trading data for the 2017 calendar year for Snoozy Trading Co Ltd was as follows:

Account: $
Purchases of Manufacturing Raw Materials 8,651,500
Direct Labour 4,328,500
Indirect Labour (including salaried supervisors) 1,250,000
Direct Manufacturing Overhead (including depreciation) 2,255,500
Other Manufacturing Overhead 847,000
Factory Rent 250,000
Factory heat, light and power 1,567,500
Sales Rep Salary and Commission Costs 3,324,500
Administration Salaries and Costs 875,500
Freight Inwards 100,500
Freight Outwards 65,500
Sales Revenue 35,726,840
Accounting & Audit costs 150,000
Financing Costs 547,500
Sales & Marketing Expenses 871, 500

Using Excel prepare a cost of goods manufactured schedule, cost of goods sold schedule and an income statement for the Snoozy Trading Co Ltd from the information provided. Your Excel model should include a data input section and appropriate formulae (10 marks).

(Note: Your XL worksheet must include a data input section. If you are unsure what this entails please seek advice from your Subject Coordinator)
Question 2 International issues in Management Accounting (20 marks).
This question relates specifically to the subject’s 3rd and 5th learning outcomes.
Resources to assist students to conduct research and answer this question will be provided in the subject Interact site at the start of the session. However, students are expected to research beyond the resources provided and are encouraged conduct their own research using academic research resources. Guidance on how to conduct simple academic searches will be provided by your Subject Coordinator/Lecturer. Please note that marks will be deducted for referencing errors and an APA guide to in-text referencing has been provided in the subject Interact site. Please ask for directions with referencing from your Subject Coordinator if you are having trouble with this requirement (approximate 600 word limit).
Mercury Inc. owns a dairy processor business AusMilk Ltd which operates factories in the famous Kiewa Valley dairy region in North East Victoria. The rapid increase in purchase by Chinese residents of milk-based baby formula and other dairy products has led to Mercury Inc. purchasing the ChinaSouth DairyCo, a large dairy distributor network based in Guangzhou in South East China. It is intended that this network will be used as a base to increase sales of AusMilk’s powdered baby formula and also to launch new products from AusMilk’s product range onto the Chinese market.
Your Mercury Inc. manager Deirdre Lynch is travelling to Guangzhou to hold meetings with Mr. Yongxian Zhang the CEO of the newly acquired subsidiary and his senior management team. Ahead of this trip Deirdre has requested that you provide her with a briefing regarding the following:

(i) the perceived differences and advantages of Australian dairy product in China and how this should be reflected in manufacturing of the export product; (5 marks)

(ii) any differences that Deirdre can expect to encounter between Chinese and Western approaches to management accounting; and (5 marks)

(iii) Deirdre wishes to understand how the concepts of ‘guanxi’ and ‘power distance’ will impact on her interactions with the current ChinaSouth DairyCo managers who will now become part of the team she supervises. (10 marks)

Question 3 Comprehensive Manufacturing Budget (25 marks)

This question specifically addresses all 5 of the subject’s learning outcomes.
This question builds on prior studies and relates to learning material and objectives from Online Modules 1, 2 and 3. Links to specific resources provided for this question relating to Manufacturing Budgets and Excel spreadsheets can be found in the Online Topic Modules and are also available in the Resources section of the subject interact site in the Excel Resources folder.

On your manager Deirdre Lynch’s return from China she has asked you to undertake a 3 month secondment to the Mercury Inc. wholly-owned subsidiary AusMilk Ltd where you will be based at their Australian Head Office in Albury Wodonga. Prior to your commencement in this role you have been asked to develop a comprehensive production and manufacturing income budget for the export baby formula business unit and the Chinese market for the next five years from 2018 to 2022 inclusive. The budget should include a sales budget, production budget, purchases budget and include a schedule of cost of goods manufactured, a schedule of cost of goods sold, and gross profit calculation. There is no need to produce a budgeted income statement.

The budget should be based on the following information:

AusMilk Ltd 2017 Financial Information Units $
Sales 51,850,500 116,663,625
Wholesale Price (per unit) 2.25
Raw Material Cost (per unit) 0.6050
Direct labour (per unit) 0.0800
Manufacturing Overhead (per unit) 1.4575
Inventory 30/06/2017
Closing Inventory Raw Materials 2,000,000 1,210,000
Closing Finished Goods Inventory Units 985,000 2,100,000
Other Expenses:
Sales commissions 1,300,000
Administration Wages & Salaries 1,875,000
General Expenses 465,000
Factory Manager Salary 150,000
Non-manufacturing Utilities Costs 361,250
Motor vehicle expenses 365,750
Dep’n: Factory Plant & Equipment (Straight line) 765,000
Dep’n: Office Equipment (Straight line) 87,500

Deirdre Lynch is very excited about the export prospects to China through the new distributor network she recently inspected and believes that sales of high quality milk products, particularly baby formula, in China will increase dramatically over the coming years. She has provided the following assumptions upon which you are to base your budget estimates:

2018 – 2022 Budget assumptions:
Unit Sales are expected to increase at 10% per annum
Selling Price is expected to increase at 2% above the inflation rate
Raw Material and Manufacturing Overhead costs are budgeted to increase at 1% above the inflation rate
Labour cost increases including management salaries are expected to be held at the rate of inflation
The Australian Company tax rate is predicted to remain at 30%
Non-manufacturing expenditure will increase at the rate of inflation
Target Raw Material Inventory is the equivalent of 2 weeks of the expected production for the year.
Target Finished Goods Inventory is the equivalent of 1 week of the current year’s sales
The production capacity of the Kiewa baby formula factory is est. 65 million units pa.
The long range inflation forecast for Australia is 2.25% pa over the 5 year budget period.

Required:

(a) Five Year Budget (15 marks)
For the 5 year budget period prepare:
i. Sales, Production and Purchases budget
ii. Budgeted schedule of cost of goods manufactured
iii. Budgeted schedule of cost of goods sold and Gross Profit calculation

Please note that marks will be awarded based both on the accuracy of your answer and on your spreadsheet design and formula use. The solution should incorporate the use of the IF, ROUND and ‘Absolute Referencing’ functions in Excel. All 5 years of each budget should be shown side by side (1 column per year) for ease of comparison by management. All of the budgets should be presented on one worksheet together, working down the page commencing with the Sales, then Production budgets, COGM, through to Cost of Goods Sold and Gross profit calculation.

You should be able to drag the formula across for the whole of the budget if the first years are properly constructed with a data input section and using absolute referencing. This makes the process much quicker and easier. An Excel help file and video which deals with the formula required has been placed in the Resources folder in the subject Interact site to assist students (linked through Online Module 3).

(b) Increased Production Constraint (5 marks)
You are advised that an upgrade to the drying and packaging production line will increase the baby formula production capacity of the Kiewa factory by 25%. The upgrade will have a one off cost of AUD $5 million and can be installed ready for use from January 1, 2019. In a new worksheet adjust the budget spreadsheet developed in part (a) to reflect this change and show the results. Assume the $5 million upgrade cost will be paid on January 1, 2019 and that AusMilk Ltd has a 12% cost of capital for assessing capital budgeting items.

(c) Strategic Management Report (10 marks)
Write a report for the CEO of AusMilk Ltd recommending whether to take up the option to purchase the upgrade to increase the productive capacity of the Kiewa factory. In your answer address any other issues (strategic and financial) which you believe the company should consider in making such a decision. In your report consider the strategic and financial implications of the firm reaching its production constraint and the alternative of having extra productive capacity. Your grade will depend on the accuracy and depth of your analysis, and your capacity to identify strategic issues (risks and opportunities) which management should consider when making their decision (approx. 300 words).

Question 4 Cost Concepts (10 Marks)
This question specifically addresses the 3rd of the subject learning outcomes.

This question builds on prior studies of Cost Volume Profit (CVP) analysis and relates to learning material and objectives from Online Modules 1 and 2.

(i) Define and distinguish between ‘fixed’ and ‘variable’ costs and also between ‘product’ and ‘period’ costs. (5 marks)
(ii) In management accounting costing what is a ‘relevant range’? Does the concept of a ‘relevant range’ only apply to fixed costs? Discuss. (5 marks)
Question 5 Strategic Management Accounting Case Study (25 marks)

This question specifically addresses all five of the subject learning outcomes.

This question builds on prior studies of Cost Volume Profit (CVP) analysis and relates to learning material and objectives from Online Modules 1 and 2.(For assistance on this question you are advised to undertake the case study from Mars Petcare which is provided online (with solution) in Topic 2 as the Reflection Task).

Star Wars Themed Electric Tooth Brushes
STRATEGIC MARKET ANALYSIS
You have been asked to join the Strategic Management Committee of Mercury Inc. as the management accounting representative. The main task of the Committee is to carry out ongoing reviews of the profitability and viability of various product lines across all of the divisions of the Mercury Inc. The Committee has been asked to review the profitability and viability of products manufactured by wholly owned subsidiary the Empire Group.

Despite the rapid increase in sales of Star Wars themed merchandise as a result of the renewal of the Star Wars film series, one of the products under review is the Star Wars ‘Darth Vader’, ‘Kylo Ren’ and ‘Rey’ character toothbrushes. These new products were originally launched in 2015 on the release of Star Wars Episode VII and were re-launched with the Christmas 2017 release of Episode VIII The Last Jedi. The electric toothbrush manufactured by the Empire Group is sold through major department stores and supermarket chains in Australia and New Zealand and has been the clear market leader in its category since the product was first introduced to Australian markets more than 10 years ago as the Darth Vader-themed toothbrush.

The Empire Group is not the only company licenced to manufacture and market Star Wars franchise products in Australasia. Major regional competitor Death Star Manufacturing has been producing a cheaper version of the Star Wars toothbrush which retails at a lower price and the competitor has recently taken significant market share away from the Empire product. Market research indicates that although the Empire Group’s toothbrushes are recognised as being a superior products, the lower price is a significant factor in why consumers are switching to the Death Star Manufacturing toothbrush. Whilst the overall market for Star Wars themed merchandise has continued to grow rapidly, in the last two years Empire Group’s electric toothbrush sales have fallen from 80% of the total market to 50% of the market. During the same period, major competitor Death Star Manufacturing has increased its sales of electronic toothbrushes from 10% to 40% of the market. Unit sales of all brands of Star Wars themed toothbrushes in the Australia and New Zealand market for 2017 calendar year stood at 6 million units.

Whilst the Empire Group’s Star Wars electronic toothbrush is still profitable the Strategic Committee is concerned about the products overall profitability given the downward trend in sales. The Empire Group has a base expected return on investment in this sector of 20% (calculated as Gross Profit divided by Total Assets). Product lines which do not meet this Return on Total Assets (ROTA) benchmark may be discontinued.

As the Management Accounting representative you have provided the Strategic Management Committee with the following breakdown of revenues and costs for the Star Wars Toothbrush product line for the just completed 2017 calendar year:
Star Wars Electronic Toothbrush
Toothbrush Factory Total Assets $40 million
Total Sales (Volume) 3.0 million
Regular Retail Price (per unit) (price sold in store) $24.95
Gross Sales Value (per unit) (Price received by Empire Group) $15.00
Prime Costs $5.00
Manufacturing Costs $6.20
Logistic Costs $1.50
Total Costs (per unit) $12.70
Gross Profit (per unit) $2.30
Total Gross Profit $6,900,000
ROTA 17.25%

The Return on Total Assets (ROTA) for the Star Wars Electronic Toothbrush for the 2017 year was 17.25%. This is below the required ROTA of the Empire Group of 20%. If the product continues to trade at current levels it will be deemed as unviable and discontinued.

The Australasian Marketing Division of the Empire Group believes that Research and Development advances from within the world-wide Empire Group could improve sales of the Star Wars toothbrush product and its profitability outlook. Developments in digital electronics means that the company will have the capacity to include a feature where the character-based Star Wars toothbrush will be able to digitally record a name and then include it in a replayed sound bite every time the toothbrush is activated. It is planned that the toothbrush will play an adaption of a famous Star Wars catch-phrase from each character, Rey, Kylo Ren, and Darth Vader. For example, the Darth Vader version will broadcast “Luke, I am your toothbrush” every time it starts up. Purchasers will have the option of recording a different name to replace Luke with their own name if they wish. Initial engineering indicates that by making savings in packaging and other materials the underlying prime, manufacturing and logistic costs of the toothbrush will not change from its current $12.75 per unit.

The Marketing Division have carried out some initial market research and believe that this added feature will make a big difference to consumers and will potentially increase unit sales by 30% in the first year. To achieve this sales increase Marketing advises that it is imperative that the product improvement is advertised effectively and have suggested that a marketing rebate of $0.80 per unit be paid to retailers which they must spend on direct promotion of the improved product.

The Chair of the Strategic Management Committee has reviewed the marketing proposal and advised that even after allowing for the 30% sales increase, the increase in costs represented by the extra $0.80 in marketing rebates means that the products ROTA will fall to below 15% and will be well below the Empire Group required ROTA of 20%. The CEO argues that if this occurs the previously successful Star Wars Electronic Toothbrush product line may have to be discontinued.

You are aware that following the recent drop in sales the Star Wars Electronic Toothbrush factory is operating at only 40% of its practical manufacturing capacity. You are also aware that whilst the Electronic Toothbrush product’s Prime Costs are 100% Variable, other Manufacturing Costs and Logistic Costs are made up of 90% Fixed costs and 10% Variable costs.

You ask if you can be given time to prepare a report for the Strategic Management Committee on the Management Accounting cost and profit implications of the changes proposed by Marketing and R&D based on the budgeted costs and increases in both sales and production.

Required:

(i) Using Excel prepare a ‘before and after’ budget comparative analysis of the revenues and costs of the Empire Group’s Star Wars Electronic Toothbrush product line. The analysis should incorporate the 30% predicted sales increase and the added $0.80 per unit Marketing Rebate. Ensure you include in your analysis any impact of the budgeted production increase on other per unit manufacturing and logistics costs. (10 marks)

(ii) Allowing for the change in sales volumes use Excel to calculate the expected impact of the drop in sales on the per unit product costs on our competitor Death Star Manufacturing.

It can be assumed that the 90% Fixed to 10% Variable manufacturing and logistic cost break-down will hold consistently across the industry (including for competitor Death Star Manufacturing). Assume that 75% of the predicted unit sales increase of the Star Wars Electronic Toothbrush will be made at the expense of the unit sales of their main competitor Death Star Manufacturing (meaning Death Star Manufacturing unit sales will fall by 75% of the Star Wars Electronic Toothbrush sales increase). Assume that the Empire Group and Death Star Manufacturing have identical manufacturing and logistics cost structures at the commencement of the 2018 calendar year. (5 marks)

(iii) Prepare a brief report (maximum 300 words) for the Strategic Management Committee outlining the key points of your findings. Include some discussion on:

a. the likely impact of the changes on the cost and profit structure of Star Wars Electronic Toothbrush (derived from your answer to (i)).

b. the likely impact of the changes on the cost and profit structure of Death Star Manufacturing (derived from your answer to (ii)).

c. make a recommendation to the Committee on whether to go ahead with the planned changes. Include any other strategic advice that you consider relevant to the Committee’s decision making (for example profitability for supermarkets).

(Please ensure that your answer adequately addresses ALL of the points above) (10 marks)

Question 5 Ethics Case Study (10 marks)

This question relates specifically to the subject’s 3rd and 5th learning outcomes.

This question builds on prior studies and other subjects in your accounting degree analysis and relates to learning material and objectives from Online Modules 1.

Who Publishing prints and distributes a range of educational texts for the tertiary education sector in Australia. In 2017, for the first time in several years, the company decided to pay a bonus to management staff based in part on whether actual reported profit exceeds budgeted profit. The CEO of Who Publishing, Pete Townshend was very pleased with the 2017 bonuses and advised the company’s finance director Roger Daltrey that he and other senior managers expected bonuses would double for the 2018 financial year.

After that conversation with the CEO the firm’s finance director Daltrey felt significant pressure to maintain the bonuses by ensuring that reported profit remained at a high level in comparison to budget. Zeppelin Ltd supply most of the production material for the manufacture and printing of the Who Publishing texts and over time Daltrey had developed a close relationship with Robert Plant the lead management accountant for Zeppelin. Daltrey advised Plant that strict limitations on operational costs had been imposed by Who senior management and asked that Zeppelin invoice 50% of purchases of production materials as plant and equipment rather than as production material. To maintain a good relationship with Daltrey and Who Publishing, who were major customers, Plant agreed to the request.

Daltrey posted the materials purchases as depreciable equipment purchases meaning that they would appear as assets in the Balance Sheet rather than being expensed in the current year. This had the effect of increasing Who Publishing’s profit in the current year and assuring bonuses for management.

Eric Burdon the management accountant for Who Publishing, who reports directly to Roger Daltrey, noticed the overall decreased levels of production materials being purchased and also the increased purchases of equipment from Zeppelin. He reported the discrepancies to his line manager Daltrey who told him it was an accounting treatment that, in the long run, had no overall impact on profitability. Daltrey warned Burdon not to get involved.

(i) If Burdon came to you as a colleague, what advice would you provide him about the ethics of Daltrey’s actions? (5 marks)

(ii) What action would you recommend Burdon take (explain your reasoning)? (5 marks)

As a starting point to assist in answering this question please refer to the appendix of Chapter 1 of the Langfield-Smith et al text and also the APES GN 40 Ethical Conflicts in the workplace - Considerations for Members in Business PDF prepared by the Accounting Professional & Ethical Standards Board which is provided on the subject Interact site. Students are expected to also conduct their own research beyond the text and online study materials in order to respond to this case study.
Rationale
This assignment directly addresses the key learning outcomes for ACC210 including that on successful completion of the subject students will:
• be able to apply technical, computational, and analytical skills to the design and operation of product costing and management accounting control systems;
• be able to exercise critical thinking and judgement in identifying and solving management accounting problems;
• be able to review, critically analyse and communicate knowledge of contemporary issues around qualitative and quantitative cost performance measurement;
• be able to efficiently and effectively use computer spreadsheets as an aid to product costing, budgeting and performance evaluation; and
• be able to understand and communicate the impact of cultural and international dimensions on management accounting practice.

The requirements of this assignment cover up to and including Topic 6 of the Online Learning materials. The assignment is designed to develop your problem solving, spreadsheet (Excel) design, and written communication skills. The questions require you to apply the knowledge and tools covered in the subject topics in order to demonstrate your understanding of the subject content and also to illustrate your capacity for strategic thinking. The assignment will also test your ability to communicate and explain the impacts of your findings whether through quantitative or written reports. The ability to communicate effectively has been identified by the accounting professional bodies as being critical to your future role as an accountant.
Note:
The development and demonstration of a level of technical proficiency in using spreadsheets to prepare management accounting reports is a key requirement and expectation of this subject and, more particularly, of this assessment. In prior offerings of this subject some students have resisted or not fully engaged with this requirement to effectively use Excel or some compatible spreadsheet application and have received significantly reduced marks.
Several short video tutorials on Excel are provided through the subject Interact site. These include an Excel tutorial specific to this subject and several that were prepared for introductory accounting subjects. Indicative examples of the types of formulae needed and model formats will also be provided, however you are required to develop your own spreadsheets. If you need further help with developing your Excel skills you should contact your lecturer or subject coordinator who will be able to direct you to other resources to assist your learning.
Marking criteria
The assignment is marked out of 100 and is worth 30% of the overall assessment in the subject.
You must submit workings showing how you have obtained your answers, including whether you have applied appropriate techniques to analyse and solve problems. Indicative examples of the types of Excel formulae needed and model formats will also be provided, however you are required to develop your own spreadsheets.
Marking Guide
Learning outcome Marking Criteria High Distinction Distinction Credit Pass Fail
Be able to demonstrate technical, computational, and analytical skills associated with the design and operation of product costing and accounting control systems. Ability to identify accounting problem(s) or issue(s) and apply the appropriate accounting technique. Apply appropriate accounting technique to identified issue with no quantitative errors and excellent presentation and formatting. Identify type of accounting problem and apply appropriate accounting technique with very few (if any) errors and good presentation and formatting. Identify type of accounting problem and apply appropriate accounting technique with few minor errors. Identify type of accounting problem and apply appropriate accounting technique with some calculation errors. Fail to correctly identify the accounting issue and fail to apply the appropriate accounting technique to solve the problem. Numerous and/or catastrophic calculation errors.
Be able to discuss issues associated with contemporary performance measurement.

Be able to communicate effectively in reports for management.
Ability to correctly interpret the results of your analyses and to clearly convey your understanding of the results to the end user.
Ability to apply your knowledge of management accounting business situations in a strategic manner.
Understanding of the theoretical issues underpinning management accounting.
Appropriate and professional referencing of sources.
Ability to present your answers neatly, effectively, and appropriately using computers. Correctly identify underlying accounting issue and all of the potential implications of accounting data/ results. Identify key areas of concern for management adopting a strategic ‘whole of business’ approach including well thought out and justified recommendations. Output is well researched, logically argued, and well written in a manner that very effectively conveys the key outcomes and recommendations to the end user. All references and sources acknowledged and professionally presented. Correctly identify underlying accounting issue and all of the potential implications of accounting data/results and identify and report key areas of concern with effective strategic recommendations for management. Well researched and well written argument with references and sources acknowledged and output professionally presented. Correctly identify underlying accounting issue and major implications of accounting data/results and identify and report key areas of concern for management in a concise manner. Well written with a logical argument and with references and sources acknowledged and professionally presented. Identify underlying accounting issue and some implications of the reported accounting data/results and report issues that should be of concern to firm management. Written in clear language with references and sources acknowledged and professionally presented. Fail to identify underlying accounting issue. Incapacity to interpret the results of quantitative problem analysis in a manner that adds value to the accounting data/results developed for management.
Be able to use computer spreadsheets as an aid to product costing, budgeting and performance evaluation. Level of technical proficiency in using spreadsheets to prepare management accounting reports.
Ability to use Excel to solve management accounting problems. This includes the ability to use appropriate Excel (or similar) analysis tools and functions, construct appropriate spreadsheet formulae and to effectively and appropriately print and present your material and results.
Ability to present your answers effectively, appropriately, and neatly, using computers. Use of appropriate formulae with no errors. Correct use of data input sections where appropriate. Excellent design allowing intuitive and easy comprehension of key data. High standard of formatting enhancing the logical presentation of the data output enhancing comprehension by report end users. Consistent use of appropriate formulae with very few (if any) minor errors. Correct use of data input sections where appropriate. Well designed and logical data output presentation. Good formatting allowing easy and effective comprehension by report end users. Consistent use of appropriate formulae with few errors. Correct use of data input sections where appropriate. Logical data output presentation and formatting allowing easy and effective comprehension by report end users. Use of appropriate formulae with some errors. Use of data input sections where appropriate. Basic data output presentation and formatting allowing effective comprehension by report end users. Fail to use appropriate Excel formulae to construct spreadsheet solutions to accounting problems including data input sections and advanced formulae. Poorly formatted and presented.

Requirements
Preparation and submission requirements
This assignment requires a Microsoft Word document as well as a Microsoft Excel spreadsheet solution and both of these must be submitted online using Turnitin.
You must submit both a Word file AND an Excel file. Failure to submit both of the files by the due date constitutes non-submission and late penalties will apply.
Your spreadsheet solutions must be cut and pasted into the Word document. This Word document is what will be marked and returned to you. Remember that in the business world the professional presentation of information is fundamental and accordingly marks will be deducted for poor presentation. An electronic version of your source spreadsheet is required to enable markers to open the file and test your efficient use of spreadsheet formula by, for example, changing values of input variables. Marks will be awarded on the basis of correctness of answers, appropriate use of spreadsheet modelling, effective worksheet design, and level of professional presentation.
A reference list is mandatory for this assessment item. It is important that you are aware of how to reference properly and a reference list must be provided, properly formatted using APA guidelines with a hanging indent. Please note that it is a submission requirement that you include a reference list and assignments which do not include a properly formatted reference list will incur up to a 5 mark penalty.
Review the rules regarding plagiarism and if you are not sure contact your lecturer or student learning skills advisor for advice. There is no excuse for presenting the work of others as your own; this includes cutting and pasting material from the web without properly referencing the source.
The CSU Library site provides an on-line guide to APA style referencing. This is the referencing style adopted by the School of Accounting and Finance. The guide can be found at: http://student.csu.edu.au/study/referencing-at-csu
Any difficulties in submitting your assignments online electronically using Turnitin should be immediately reported to the Subject Lecturer by email. Include your name and student number in the header or footer of all documents submitted. Retain a copy of your assignment for your records.
Spreadsheet requirements
Your spreadsheet must have a separate worksheet (tab) for each question answered. For each question the worksheet should have a data entry section where all (or most) of the question data is entered, followed by a model or results section. The results section should be mainly formula driven.
NB There should be as little as possible data entry in the model/results section of the spreadsheet.
Most, if not all, data should be imported into the model from the data entry section. A number of Excel resources will be provided through the subject Interact site to assist you to complete this assignment however there is no substitute for getting in and trying it out. An excel resource file specific to the assignment is provided on the subject Interact site and you should review the various formulae demonstrated on that file.
Please contact your subject coordinator if you need further guidance on particular issues surrounding Excel or if you are unsure about any of the requirements.

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